There’s a current narrative that owning a home today is less affordable than it's been in the past. The reason some are making this claim is because house prices have substantially increased over the last several years.
It’s not just the price of a home that matters.
Homes, in most cases, are purchased with a mortgage. The current mortgage rate is a major component of the affordability equation. Mortgage rates have fallen by over a full percentage point since December 2018. Another major piece of the affordability equation is a buyer’s income. The median family income has risen by approximately 3% over the last year.
The National Association of Realtors (NAR) releases a monthly Housing Affordability Index. The latest index shows that home affordability is better today than at almost any point over the last 30 years! The index determines how affordable homes are based on the following:
“A Home Affordability Index value of 100! ...

Over the past year, mortgage rates have fallen more than a full percentage point. This is a great driver for homeownership, as today’s low rates provide consumers with some significant benefits. Here’s a look at three of them:
Refinance: If you already own a home, you may want to decide if you’re going to refinance. It’s one way to lock in a lower monthly payment and save substantially over time, but it also means paying upfront closing costs too. You have to answer the question "Should I refinance my home?"
Move-up or Downsize: Another option is to consider moving into a new home, putting the equity you’ve likely gained in your current house toward a down payment on a new one that better meets your needs – something that’s truly a perfect fit for your family.
Become a First-Time Homebuyer: There are many financial and non-financial benefits to owning a home, and the most important thing is to first decide when the time. ...

In a recent article, First American shared how millennials are not really any different from previous generations when it comes to the goal of homeownership; it's still a huge part of their American Dream. The piece, however, also reveals,
 “Saving for a down payment is one of the biggest obstacles faced by first-time home buyers. Dispelling the 20 percent down payment myth could open the path to homeownership for many more.”
 Myth #1: “I Need a 20% Down Payment”
Buyers often overestimate how much they need to qualify for a home loan. According to the same article:
“Americans still overestimate the qualifications needed to get a mortgage, resulting in qualified potential buyers not even considering homeownership. Indeed, the Urban Institute report revealed that 16 percent of consumers believed that the minimum down payment required by lenders is 20 percent or more, and another 40 percent didn’t know at all.”
While many p! ...

Learning the lingo of home buying is an important part of feeling successful when buying a home.  From APR to P&I, you need to know the acronyms that will come up along the way, and what they mean when you hear them.  
We are here to help you feel informed from start to finish, so here's a quick 'Home Buying Acronyms 101' lesson to increase your home buying confidence!

5 Home Buying Acronyms You Need To Know
APR (Annual Percentage Rate)
Annual cost of borrowing money based on the loan amount, interest rate, and certain other fees.
FRM (Fixed-Rate Mortgage)
Interest rate that doesn't change during the entire term of your loan.
DTI (Debt-to-Income)
Percentage of your monthly income that goes toward your monthly debt payments.
PMI (Private Mortgage Insurance)
Insurance that protects lenders from losses if a homeowner is unable to pay their mortgage. It's required for homebuyers who make down payments less than 20% of the home purchase price.
P&I (Prin! ...